Top 5 blue-chip stocks to watch in 2025

What are blue-chip stocks?

Blue-chip stocks are the shares of large, well-established companies that tend to weather the ups and downs of the market.

These companies stand out for several reasons. They:

• Are market leaders in their industries
• Have a long track record of stability
• Often pay consistent dividends
• Hold a strong public reputation
• Are usually included in major stock indices like the S&P 500 or Dow Jones Industrial Average

Because of these qualities, blue-chip stocks are often viewed as reliable choices for traders looking for stability and long-term performance.

What kind of stock trader should consider blue-chip shares?

Blue-chip stocks have a risk-reward profile that’s attractive to most stock traders, particularly those with a more conservative risk tolerance.

Having said that, they can be a great purchase for those with a greater risk appetite – to balance and diversify their portfolios. This gives traders more stability during economic downturns.

Common challenges of selecting blue-chip stocks

The very nature of blue-chip stocks is that they’re generally seen as steady and reliable, which means you’re less likely to find ones that show significant growth in the short-to-medium term.

There are also so many of them, making it difficult to determine which ones are worth trading over the short and medium term. Sifting through the financials of dozens or even hundreds of stocks can take time. That’s why we offer our stock screener – to make it easier for you to determine which ones to trade.

Moreover, they’re often expensive – the barrier to entry for a small stock trader can be high. For example, as of 20 October 2025, the share price of Johnson & Johnson is US$193.22. It’s not prohibitively expensive, but it does require substantial investment funds to buy a significant number of shares.

Risks of blue-chip stocks

• Lack of short-term price movements: blue-chip stocks, because they’re so established, don’t always generate short-term price movements to make CFD trading viable
• Lower returns: because they’re a ‘safer bet’ than many other types of stocks, like growth stocks, they tend to generate lower returns over the short term. However, be aware that this doesn’t mean they’re immune to volatility
• Premium share price: they’re in high demand, which often leads to a higher share price
• Beware of smaller competitors: if blue-chip companies aren’t careful, smaller rivals can chew up their market share quickly

Top 5 blue-chip stocks to watch in 2025

We selected these blue-chip stocks for multiple reasons, including:

• Their established status in their industries. For example, Nestlé is the largest food and beverage company in the world
• The companies on our list, like Samsung, have shown innovation over and over, pivoting from one emerging technology to the next
• They show resilience in market downturns, like the Covid-19 pandemic or the 2008 financial crisis

Overview of the blue-chip stocks in this article

The stocks in this article can all be traded via CFDs or bought via stock trading through IG UAE, except for Samsung Electronics.

All data is accurate as of 20 October 2025.

1. Johnson & Johnson (NYSE: JNJ)

Industry: Health technology

Market cap: US$465.34 billion¹

YTD stock price increase: 33.04%²

Johnson & Johnson is one of the world’s largest healthcare companies, and one of the most reliable names on the US stock market. Founded in 1886, it operates in three main areas: pharmaceuticals, medical devices and consumer health products. Its brands include household names like Band-Aid, Tylenol and Neutrogena.

What makes J&J a true blue-chip is its consistency. It has paid and increased its dividend for more than 60 consecutive years – a record that very few companies can match. This makes it a popular choice for stock traders looking for long-term stability and regular income.

In recent years, J&J has focused more on pharmaceuticals and medical technology, areas with strong growth potential. It recently separated its consumer health division into a new company called Kenvue, allowing J&J to focus on higher-margin businesses like cancer treatments and surgical robotics.

Highlights:

• J&J tends to hold up well when markets are volatile because people always need healthcare, making it a defensive stock
• CFD traders might find limited short-term action, but it can move around major earnings announcements or legal developments

2. Nestlé SA (SIX: NESN)

Industry: Consumer non-durables

Market cap: CHF214.40 billion³

YTD stock price increase: 12.83%⁴

Nestlé is the world’s largest food and beverage company, selling everyday products like coffee (Nescafé), chocolate (KitKat), bottled water and pet food (Purina). It operates in almost every country and has over 2,000 brands, giving it global reach and stability.

It has a long track record of steady earnings and dependable dividend payments, with annual increases for more than two decades. Because it sells essential goods, Nestlé’s business tends to be resilient even when the economy slows down.

In recent years, the company has shifted its focus toward healthier and more sustainable food products, investing heavily in plant-based foods, nutrition, and water efficiency. It’s also streamlined its portfolio, selling off slower-growth divisions to focus on higher-performing ones.

Highlights:

• For stock traders, Nestlé offers predictable growth and income – a classic buy-and-hold stock
• For CFD traders, small opportunities may appear around earnings or currency fluctuations, given the company’s global footprint

3. Shell Plc (LSE: SHEL)

Industry: Energy minerals

Market cap: £155.18 billion⁵

YTD stock price increase: 9.66%⁶

Shell is one of the world’s biggest energy companies, known for producing oil, natural gas, and increasingly, renewable energy. Founded over a century ago, it’s considered a cornerstone of Europe’s blue-chip market and is listed on both the London and Amsterdam stock exchanges.

The company has weathered multiple oil price cycles while continuing to reward shareholders. In fact, Shell is often seen as a dependable income stock thanks to its historically solid dividend yield.

The company is also transforming. While it remains a major player in traditional energy, Shell is investing heavily in cleaner fuels, hydrogen, and renewable power generation. This transition aims to balance short-term profitability with long-term sustainability.

Highlights:

• Shell offers both stability and exposure to the global energy market for stock traders
• For CFD traders, its share price is often influenced by oil prices, making it a popular choice for short-term trading opportunities

4. Samsung Electronics (KRX: 005930)

Industry: Electronic technology

Market cap: ₩634.18 trillion⁷

YTD stock price increase: 86.15%⁸

Samsung is a global technology powerhouse and the jewel of South Korea’s economy. It produces smartphones, televisions, semiconductors and household appliances, making it one of the most diversified tech companies in the world.

Samsung is best known for its Galaxy smartphones, but its most valuable business segment is actually its semiconductor division. It’s one of the top producers of memory chips used in data centres, AI applications, and everyday electronics. This combination of consumer tech and hardware makes it a true blue-chip in both innovation and scale.

For stock traders, Samsung offers a mix of growth and reliability. It has a solid balance sheet, strong global brand recognition and pays regular dividends, something that’s uncommon for many tech firms.

The company also benefits from trends in AI and electric vehicles, both of which depend on its chip technology.

Highlights:

• CFD traders often watch Samsung for its price swings linked to global demand for chips or new product launches. The semiconductor market can be cyclical, leading to higher volatility than most blue chips, with greater trading potential

5. BHP Group Limited (ASX: BHP)

Industry: Non-energy minerals

Market cap: A$221.39 billion⁹

YTD stock price increase: 9.22%¹⁰

BHP Group is one of the world’s largest mining and resource companies, producing iron ore, copper, coal and other raw materials essential to global industry. It’s headquartered in Australia but also listed in London, giving it international blue-chip status.

BHP’s size and diversification make it one of the most stable companies in the mining sector. It’s known for strong earnings, healthy cash flow and attractive dividends, often among the highest in the blue-chip sphere. Its financial strength has allowed it to maintain payouts even during weaker commodity cycles.

The company is also positioning itself for the future by investing in minerals that support the green transition, including copper and nickel for electric vehicles and batteries.

Overall, BHP combines income potential with exposure to global demand trends – a strong choice for investors seeking a dependable but dynamic blue-chip stock.

Highlights:

• BHP offers exposure to long-term global growth trends such as urbanisation, infrastructure spending and clean energy – all appealing traits for stock traders
• For CFD traders, BHP’s share price tends to move with commodity prices, especially iron ore and copper. This volatility can create frequent short-term opportunities

Key factors to consider when evaluating blue-chip stocks

When you’re evaluating a blue-chip stock, there are a few key factors to keep in mind. These include:

• Dividends: blue-chip companies tend to pay attractive dividends consistently – it’s one of the main reasons why stock traders invest in them. Look out for stocks that pay dividends
• Transparency: ethical operations and transparent financial reporting and disclosures are crucial when choosing blue-chip stocks. While this is true for all shares, it’s particularly important for blue-chip stocks, as their stability depends heavily on public and stock-trader trust
• Economic resilience: a long track record of stability over both positive and unstable economic times is the hallmark of a good blue-chip stock – can it weather economic storms?
• Industry leaders: blue chips worth your time tend to be market leaders with a large market share in their sector or industry

How to trade blue-chip stocks with IG UAE

CFDs

1. Open a CFD trading account with IG UAE
2. Search for blue-chip stocks on the IG platform
3. Decide whether to go long (buy) or short (sell)
4. Choose your position size
5. Set stop-loss and limit orders
6. Place your trade and monitor it

Stock trading

1. Open a stock trading account with IG UAE
2. Search for blue-chip stocks
3. Choose the stock you want to buy – try our stock screener
4. Determine how many shares you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about blue-chip stocks

Footnotes
 

1. TradingView, October 2025
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10. TradingView, October 2025